Shamil Bank delegation meets with 'Shamil Bosphorus Modaraba' investors

The delegation from Shamil Bank included senior officials from the investment and private banking groups. During the two day visit the delegation met with its Turkish development partners and investors to examine various real estate projects in Istanbul and Antalya. The delegation visited the following sites as part of their visit: an office park development in Beylikduzu, a luxury homes development in Istinye, a budget housing project next to the Formula 1 track, and a golf resort and holiday homes development in Antalya.

Earlier this year Shamil Bank announced it had raised the $90m capital required for its Modaraba, which has attracted strong interest from regional institutional investors seeking access to Turkey's high-growth real estate sector. The Modaraba's primary focus is on residential and mixed-use real estate developments in Istanbul and secondary homes on the Turkish cost. The total cost of the projects targeted is valued at approximately $330m.

In addition, the bank's delegation met with a selection of key institutional investors that constitute the Modaraba's 'Monitoring Board'. A comprehensive presentation was made on the Modaraba's progress to the 'Monitoring Board' by Hisham A. Rahman Khalifa, Manager, Investment Banking, Shamil Bank.

"The real estate market in Turkey, and in particular Istanbul and Antalya, has experienced considerable growth following the recovery from the 2002 economic crisis. Unlike other markets, the Turkish real estate market still maintains intrinsic value in ongoing developments and has not reached a stage of over-supply or rampant speculation. This in turn provides our investors with the confidence of achieving solid gains on the projects currently invested in by the Modaraba, with a total value of over $330m. A 60% projected return on investment is expected over the three year investment term of the Modaraba,"

said Hisham A. Rahman Khalifa.

"Shamil Bank is constantly on the lookout for interesting investment opportunities, especially in emerging markets like Turkey. Previously we have invested in China and we recently launched another Modaraba, focusing on the real estate sector in Central and Eastern Europe.

With the launch of Shamil's Bosphorus Modaraba we have provided GCC investors with an opportunity to participate in the phenomenal growth the Turkish real estate sector is currently experiencing. Our recent delegation visit to Turkey reiterates our commitment to deliver positive returns to our investors," said Faisal Al-Alwan, Chief Executive, Shamil Bank.